Bitcoin loses key support levels: what to expect next

In recent days, the price of bitcoin BTC $82,745.20 Bitcoin -0.39% Market capitalization $1.64 trillion VOL. 24 hours $1.04 billion has experienced a significant decline, losing important support levels. The market is currently in a correction phase, but technical indicators point to a possible reversal in the near future.

The daily chart shows that the market leader has fallen sharply, breaking through the support level of $ 92,000, which has now become resistance. The next important level is the 200-day moving average at around $ 82,000. At the same time, the Relative Strength Index (RSI) has entered the oversold zone, which may signal an impending rebound or short-term growth. To return to the uptrend, the cryptocurrency needs to gain a foothold above $ 92,000 again.

On the 4-hour chart, bitcoin has been showing a downward trend in recent months after breaking off the $ 109,000 level. The breakout of the 100-thousand and 92-thousand levels opens the way for a possible further correction to $ 80 thousand. However, due to the market’s strong oversold condition, a local rebound or consolidation phase is likely in the near future.

As for the futures market, the drop in the price of bitcoin has led to a massive liquidation of long positions. Open interest data indicates a gradual decrease in the number of open contracts. At the same time, the market is still overheated, which could lead to further liquidations and increased downward pressure.

The overall situation on the market is one of uncertainty. If bitcoin can return above $ 92,000, it will be a positive signal for further growth. Otherwise, a further correction to the $ 80,000 level is possible, where the market may find new support.